A year after doomsday predictions of thousands of teacher layoffs across Texas, the Austin Independent School District is going to give its more than 5,700 teachers and district employees 3 percent pay increases.

The raises are part of a $724.2 million budget for 2012-13 that includes a new charter school and charter school and dual language programs and overcrowding reduction, the Austin American-Statesmanreports today.

The Austin School Board plan calls for spending $14.2 million from the district’s reserve to pay for the raises in the first year. The board is expected to consider calling for a tax rate election in November to ask taxpayers to decide whether to make the salary increases permanent.